Consumers prefer green products and are willing to pay more money for decreasing their carbon footprint.
Green marketing is a very broad concept. It doesn’t only include advertising activities, but also various other practices, whose purpose is to increase production, sales and advertising sustainability and use it as one of the prime features of company’s business model.
Which companies use green marketing concept
Since almost all production and service businesses involve some kind of energy consumption and waste production, literarily any company can use green marketing techniques. It is very important to point out that some companies devote their whole mission statement to sustainability, while others just use it to increase sales and market share of specific products.
These are some examples of companies that devoted their whole business model to green practices:
- Whole Foods- organic supermarket chain that only sells sustainable products and advocates clean energy concept.
- Tesla- famous car manufacturer that promotes sustainability and clean energy sources with its main line of products (electric cars) and various experimental projects (solar home batteries).
- Ben and Jerry’s- first brand that incorporated green values into their mission statement. They promote food products made from natural ingredients and biodegradable packaging.
- Starbucks- company that invests significant portion of their funds in encouraging farmers to use more environmentally-friendly practices for growing coffee.
Which consumer groups this concept targets?
Polls indicate that most consumers prefer green products and are willing to pay more money for decreasing their carbon footprint. In spite of these favorable poll results, green products garner less than 3% of total B2C market share.
This means that green marketing practices have a lot of free space for growth and exploration. Especially because Millennials and Post-Millennials are often following lifestyles that promote health and sustainability. This consumer group is also called LOHAS (Lifestyles of Health and Sustainability). They are generally more affluent and educated and occupy higher positions on corporate ladder.
Common issues and ways to solve them
With large growth of green marketing concept, consumers became very skeptical about green claims. Green marketing growth was followed by ‘greenwashing’, which is a black hat practice that some companies use to point out their artificial sustainability. That is why marketers need to demonstrate multi-level commitment to green practices of companies they represent.
Every green marketing campaign requires an elaborate planning that will include changes of regular business practices. Companies that follow green marketing concept assemble and sell products made of natural and organic ingredients, wrap them in bio degradable packaging and use distributing models with lower carbon footprint. When it comes to advertising marketers can use bio degradable posters and cardboard point of sales displays and focus on internet as the main marketing channel, because it doesn’t produce waste. It is very important that the whole business model is influenced by green marketing concept.
How to build green credibility?
Building credibility among ecologically aware consumers is the number one goal for most companies that follow green marketing concept. For accomplishing this task, we need to follow four major principles.
- Green marketing should cover all aspects of company’s business;
- All green claims need to be honest and sustained;
- All production, sales and distribution practices need to be transparent and company should allow consumers to investigate their products’ background;
- All products and services need to be certified by third parties.
Green certifications are very popular way of sustainable product branding. They are acquired from third party foundations and institutions and they guarantee that company’s products follow ecological principles. Some of the most popular green certifications are: USDA Organic (for organic food), Green Seal, Eco Logo, Energy Star (for energy efficiency) etc.
Green marketing enables marketers to engage consumers on completely new level and therefore it represents an awakening new concept for consumers who are suffocating in exhaust fumes, garbage and boring promotional messages.
Alex Williams, the author of this article, was born and raised in beautiful Sydney. She is a journalism graduate, and a rookie blogger trying to find my luck. Alex believes blogs are the perfect opportunity for presenting herself to a wider audience and getting the chance to showcase expertise and receiving recognition. Alex is a regular contributor at BizzMark Blog.
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